Ann: Activity Report for Quarter Ended 31 March 2018, page-3

Nice update.

Using the numbers provided they sold 5122 tonnes at $A$8501 and had a C1 cost of approx. A$5288 ton, leaving a cash margin of A$3213 x 5122 tonnes = $16.45m.

Particularly liked the clarification on the mining production rate, the ore stockpiles (which we thought was happening) and the fact that whilst mining will largely cease mid 2019, the ore stockpiles can continue until 3rd quarter 2020. Added to this was the statement that 2019 and 2020 was the cash accumulation period for the company after 2018 deals with all the outstanding creditor/deferred wages etc.

Would be great to have a running total of what has been paid to date. Only the mining contractor pre-payment of A$1.93m mentioned to date along with the SA Gov't repayment of A$4.3m. This was however offset by the $4m Freepoint arrangement. Imagine others would have been paid something given exploration was minimal.

Now it would be nice to see them secure additional mine life.